Ways to save

Posted on May 8, 2018 by Mitchell Sharp

5 Ways for Lawncare and Landscaping companies to save on Commercial insurance or Workers Comp

 

 

 

 

6 coverages every Lawn Care or Landscaping business should carry.

 

 

Additional Topics

5 Ways for Lawncare and Landscaping companies to save on Commercial insurance or Workers Comp

5 types of additional insurance coverages most landscaping businesses need.

 

 

May be better for June which is National Safety Month

How is a safety program important to your business?

 

Why a return to work program should be a part of every safety program.

Most businesses have now moved away from snow removal services and into preparing for the Summer landscaping season.

 

External Articles I have written that can be used as external links

http://www.greenindustrypros.com/article/12232471/ensuring-adequate-insurance-coverage

Janitorial Business, Liability Needs

How can you use your commercial insurance policy to add to your sales pitch?

Tips for finding, buying and keeping the best insurance policies for your lawn care business

http://www.lawnandlandscape.com/article/ll-071317-insurance-safety/

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Lawncare and Landscaping

Posted on May 1, 2018 by Mitchell Sharp

5 Tips for Lawncare and Landscaping Businesses when purchasing Workers Compensation Insurance

Spring is the time of year when most people start thinking about the condition of their lawn. For this reason, it is a very busy time for businesses in this industry. When business picks up in this or any other industry, with that extra business comes extra risk. The risks your business faces need to be protected with adequate insurance. Here are 5 tips to consider the next time you are considering workers compensation insurance for lawncare businesses.

Lawncare and Landscaping Insurance | Workers Compensation Shop Blog

Choose your equipment wisely

If you are a wise business man, you wouldn’t take a knife to a gunfight, right? The same concept applies to operating a successful lawncare business. When deciding which types of equipment to buy and how many, it is important to first consider the types of services you are going to offer. Target the equipment that will help you get the job done fast, first. Considering equipment that requires minimal maintenance is crucial. It is equally important to consider the total cost of ownership as opposed to the initial price. Just because a mower has a cheaper purchase price doesn’t mean it’s the best solution.

Take Hiring Seriously

Replacing employees is expensive. Taking additional steps to get the right people in place can save you immensely in time and money later when you do not have to rehire employees. Finding the best fit is most important. Sometimes an employee with a less desirable resume may be the better fit because they are committed to you and your business.

Implement a Safety Program

Safety programs can help your business in a number of ways. First and foremost, it will limit the amount and severity of injuries you and your employees experience. Even if a safety plan addresses something as simple as getting in and out of a landscaping truck it can benefit your business in the form of less accidents and less workers comp claims. Also, it can be used by your insurance agent to get additional credits and discounts when purchasing workers compensation insurance. Additionally, a well-documented safety program can help your agent negotiate on your behalf when you have a year in which you have several claims or one large claim. The safety program can be used as a way for your agent to show the insurance carrier you have a plan to prevent these claims from becoming a recurring habit. Without a safety program in place, your insurance carrier is much more likely to raise your rate of premium or drop you from coverage altogether.

Include a Return to Work Plan

Including a return to work plan as part of your safety program can be an enormous cost saving measure. More than half of all injured employees who are out of work more than 12 weeks never return to work. This is when a small claim can turn in to an enormous cost for your carrier and have damaging result to your experience modification rating. This rating is one of the key components insurers take in to consideration when deciding to offer you coverage. Not controlling this rating can have disastrous effects on your business. A thorough return to work program can prevent a claim from moving from a slight hiccup to something that has disastrous impact on your businesses bottom line.

Consider Pay as You Go Workers Comp

Because of the seasonal nature of the lawncare and landscaping industry it is difficult to forecast a businesses yearly revenue or man hours. Because of this seasonal nature to the industry, pay as you go workers compensation insurance may be an excellent way to pay your insurance premium. This program allows a business to pay their workers comp premium each month based upon the previous months payroll. This is instead of paying an estimate based upon previous years payroll. This prevents you from over or under paying premium and prevents the need for most mid-term audits. This can save you time, money and a few headaches when dealing with your insurance carrier.

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Safety Programs For June (National Safety Month)

Posted on April 29, 2018 by Mitchell Sharp

How is a safety program important to your business?

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Beyond Texting: Tips to Eliminate all types of Distracted Driving.

Posted on April 16, 2018 by Mitchell Sharp

April is distracted driving awareness month.  Many people think distracted driving begins and ends with texting while driving, but there are many ways people can be distracted. The three main types of distractions related to operating an automobile are related to manual, visual, and cognitive distractions. Here are 5 distracted driving tips for you and your business to use to help eliminate distracted driving.

Texting is not the only form of Distracted Driving. Find 5 distracted driving tips at the Workers Compensation Shop Blog.

Adjusting the Radio or AC/Heat

The first type of distraction a driver might face is the interior sound system or climate control system. Most people adjust this first thing before putting on their seat belt. Typically the last time you were in the car, the temperature needs were not the same as they are at this particular time. This is something that should be taken care of before a driver gets out on the road and the amount of time adjusting controls should be kept to a minimum while occupying the vehicle.

Eating

America is now a nation on the go. It is very common for people to eat while in the car. This can be extremely distracting to the driver. Many people think they are good at juggling two things at once, but statistics show this is not the case when operating a motor vehicle. No matter how business someone is, your life is more precious than any appointment you are rushing to get to.

Using a Navigation System

A navigation system is another type of electronic device that many people use frequently when driving. When using these devices, drivers are typically on a road they are less familiar with. Thus they are distracted by the device and by the fact they are driving on unfamiliar roads.

Smoking

Smoking is becoming less common than it was 10 or 20 years ago, but there still is a large proportion of the population who smoke regularly. Vaping devices are gaining in popularity and they contribute to distracting drivers. Smoking should always take place before or after operating a motor vehicle.

Lost in Thought

Many people get behind the wheel at the beginning of the day and after a long days work. These are two times when people are commonly deep in thought. First thing in the morning you may be remembering what happened the previous day or preparing for the days work. On the way home from work, many people use the commute as a time to decompress and reflect on what happened throughout the day. No matter when or where you are behind the wheel, it is important to not let these cognitive distractions keep you from the task at hand.

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Types of Distracted Driving

Posted on April 9, 2018 by Mitchell Sharp

There are many ways people can be distracted when behind the wheel. Distracted driving is not only texting and driving. There are many things that can distract a person when behind the wheel. According to the Department of Motor Vehicles there are three main types of distractions; visual, manual, and cognitive. April is Distracted Driving Awareness Month and all of us at Workers Compensation Shop are dedicated to help end this phenomenon.

Visual distractions may include electronic devices, but they also can include anything that takes your eyes off the road. Manual distractions include anything that takes your hands off the wheel while operating a vehicle. Cognitive distractions include anything that takes your mind off the activity of driving. Here are some common examples of each type of distraction.

April is Distracted Driving Awareness Month.

Texting and Driving

Because texting is such a common activity for most people, sending a text doesn’t seem dangerous to many people. However, when you’re doing it behind the wheel, there are many factors at play and most are distracting to the task at hand. The facts state that texting and driving is a hazardous habit and is becoming more common every year. In 2014, 26 percent of all car crashes involved cell phone use. Even when presented with these facts, 42 percent of teenagers still admit to texting while driving.  Texting while driving has become a greater hazard than drinking and driving among teenagers.

Using a Bluetooth Device

Talking on the phone while driving is not without risk as well. Even when using a blue tooth device, hands free is not risk free.  The only way to stay truly safe while behind the wheel is to have your eyes on the road, your hands on the wheel, and your mind on driving.

Eating

Eating while behind the wheel is another activity that takes both your hands off the wheel, your mind off the activity of driving and your eyes off the road. For that reason, it is equally distracting compared to other types of distracted driving.

Putting on Make-up

Many people have lots of tasks to take care of throughout the day. If you have kids, you probably feel like you have been running behind since the moment they were born. No matter what the reason you are running late, it is never a good reason to do any of your grooming activities while behind the wheel.

Dealing with the Kids

Children can be extremely distracting when behind the wheel. It is important to remember that no matter how big of a crisis they are making their problem seem vocally, it is almost always not as serious as the task of operating the motor vehicle safely. No matter what the situation, it is important to wait until you can park the car in a safe place before dealing with the needs of your children.

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April is Distracted Driving Awareness Month

Posted on April 2, 2018 by Mitchell Sharp

Here are 5 tips your Business can implement to help eliminate Distracted Driving.  

April is Distracted Driving Awareness Month

Implement a driver safety program for all employees who operate vehicles

Safety programs should be an integral part of any business. This is especially important when you have employees who operate motor vehicles. When a business has a driving risk, claims records show that the frequency and severity of claims increases for that business. For this reason, it is important for you to implement, record, and stick to a detailed driver safety program.

Run driving records yearly on all employees who drive

Pulling the driving records of all employees who drive for your business may seem like a timely and costly step to take, but it can make an enormous difference to keeping your staff and your businesses vehicles safe. Even the best employees may not inform you when they get a speeding ticket. Especially if they know it could put their job in jeopardy. Pulling these records periodically made ad an additional cost to your business, but it may prevent an enormous cost by preventing a dangerous driver from getting behind the wheel while working for your business.

Implement a Designated-Texter Program

In some situations there may be a need for your employees to speak on the phone while in transit. If this is the case with your business, it is important to make sure the person behind the wheel is not the one doing the talking or texting. If you make this a part of your driving safety training and you talk about it frequently, it can help eliminate distracted driving among your staff.

Put the electronics away whenever possible

Whenever possible, the best thing any employee can do when operating a motor vehicle is to put all electronics away while driving. Some businesses require employees to put phones in the trunk while they are in transit. Other business owners encourage all customers to respond to them via email instead of calling or texting. This allows you to respond to them when you are at a safe place to speak without distractions.

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Restaurant

Posted on March 19, 2018 by Mitchell Sharp

Many restaurant owners wonder, how much insurance does their business really need? They might also wonder, what the correct types of insurance are for their restaurant? They might wonder what types of insurance they can do without or what the bare minimum coverage is to get by.  These are all very common questions asked of insurance agents on a daily basis.   The answer to these questions and many other things in life are; ‘It depends’. There are many variables that go in to owning and operating a restaurant. Each variable brings on its own unique risk.  Also, the amount of coverage you purchase depends upon you the business owner and the level of risk you are willing to take. Workers Compensation and General Liability Coverage are required by law in most states for most businesses. This is where most businesses start when purchasing coverages. Depending upon how much risk you are willing to take, here are 3 tips to help you make sure you are purchasing the amount restaurant insurance.

Find the best information about workers comp insurance for your restaurant on this blog by Workers Compensation Shop.

 

Are you classified correctly?

First and foremost, a small business owner needs to make sure their business is classified properly. This applies to both workers compensation and general liability insurance. Each state has their own governing body for these coverages. Usually it is the department of insurance or some similar name. An experienced independent insurance agent can help you determine what coverages are required, what coverages are necessary, and what coverages you can do without. When talking with your agent, it is crucially important to be honest with them.  This is important in relation to the time you restaurant is open, how much and what types of alcohol you serve, and what exactly your employees do.  Restaurants are classified different based upon the risks they face. You can understand the risks are higher for a business that serves primarily alcohol and is open until 2:00AM compared to a diner that is open Monday through Friday from 6:00 AM until 2:00 PM. The amount these businesses pay in premium is reflected in the premium they pay for insurance. Being properly classified can save your business immensely.

Pay as you go option

Restaurant work comp insurance is required by state law in 48 out of 50 states. Getting this coverage in place is an enormous cost for some businesses.  Pay as You Go Workers’ Compensation is s a great option for seasonal or cash strapped businesses. The pay as you go option allows a business to pay premium based upon the amount of payroll each month. This is compared to a traditional workers comp policy that is based upon an estimate of payroll over the past 1-3 years. A traditional plan also requires an up-front lump sum payment of up to one third of the total premium just to get coverage in place. For many businesses, the pay as you go option can get coverage in place for as little as a few hundred dollars.

Implement Adequate Safety Programs 

Safety programs are great for your restaurant for a number of reasons. First and foremost, they are the best way to create a safe work environment for your employees and patrons. They lower the number of accidents that occur and the severity of those accidents. They prevent both employees and patrons from hurting themselves while in your facility. They also can lower what you pay in premium for some insurance coverages. If you have a thorough and well-documented program in place you should mention this to your agent and ask if any carriers offer a discount for safety programs. Finally, when a claim occurs; if you have safety programs in place your agent can use them to demonstrate to the carrier that the incident is an outlier and not a sign of how you do business. This can prevent or limit the amount of increase in premium after a year in which you had several claims or one large claim. If you do not have a safety program in place, it does not have to be extremely time consuming to implement one. Most training can be done upon hiring all new employees and then periodically a few times a month with all long term staff. Putting forth a small amount of time towards a safety program can pay tremendous results the next time you are looking for workers compensation insurance for restaurants.

 

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Heating, Venting, and Air Conditioning (HVAC)

Posted on March 5, 2018 by Mitchell Sharp

HVAC

Heating and Air Conditioning Contractors (HVAC) are the exact type of business that has a unique issues relating to workers compensation insurance. These businesses provide services and installations of heating and air conditioning units. They do work for both commercial and residential clients. The employees must be extremely knowledgeable about their craft in relation to both installation and repair of  both duct and vent work, the different types of fuel sources for heating equipment, which can be natural or LP gas, electric, steam, solid fuel, coal, or fuel oil. Many contractors also install, service, and repair air conditioners. While air conditioning units are normally electric-powered, they are charged with different coolants, some of which may be hazardous.

HVAC Unit on top of a building.

Many HVAC Companies are classified as Artisan Contractors for insurance purposes.  There are five main workers comp class codes for HVAC Companies.

Common Workers Compensation Class Codes:

•   5537- Heating, Ventilation, A/C, Refrigeration Systems- Install, Service, Repair

•   8720-Heating and Air Conditioning- Inspection and Outside Sales

•   3726- Boiler Installation or Repair

•   5183- Plumbing- Gas or Water

Now it is important to ensure your business is classified properly within this industry. Depending upon the scope of the work you do, your rate for insurance premium may be dramatically different. Improper classification almost always gets fixed during the end of term audit, but it usually brings with it a headache if you are not properly classified on the front end.

One big difference among a lot of HVAC Companies is how their employees are classified.  Some companies classify their employees as independent contractor while some classify their employees as regular W-2 employees. Depending upon how you manage your employees, your business may be required to carry Workers Compensation Coverage regardless of how you classify your employees. It is important to check with the proper governing agency within your state to determine which classification is best for you and if you are required to carry workers comp coverage. An experienced independent insurance agent can help you with this decision.

Even if your business is not required to carry coverage it is more than likely worth your while to carry this needed coverage. If you are having trouble coming up with the initial lump sum payment, there are flexible payment options that some carriers offer. One such option is Pay as You Go Workers Compensation Insurance. This type of policy will allow you to get coverage in place at a much lower up front cost and it will allow you to pay your payments monthly based upon the previous months actual payroll.

Even if you do not decide to go with a flexible payment option, it is important to sit down and have an extended conversation with your insurance agent. It is especially important to inform your agent if there are certain types of work you do not partake in. There are numerous classification codes for each industry type depending upon the type of work your business does. If your business is classified improperly it can dramatically impact what you pay in premium for a number of commercial insurance policies.

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5 ways to save when purchasing Workers Compensation Insurance

Posted on February 28, 2018 by Mitchell Sharp

 

Partner with an Independent Agent

It is always best to partner with an independent insurance agent when purchasing commercial insurance coverage. Especially when you are looking for ways to save on premium. An independent agent can save you an immense amount of time because you do not have to shop your policy around yourself. Most independent agents have the ability to go out and get quotes from multiple carriers for you. They also are privy to which companies are aggressively quoting your particular industry.

Tell your Agent what you Value most

If you are a business owner that wants to get the absolute best protection possible, it is important to let your agent know. If price is what is most important to you, than it is equally important to let them know as well. Independent insurance agents have to speak with a lot of people from a lot of different walks of life. Each of these people have different things they value related tot heir insurance packages. The more information you give your agent about what you value, the more likely you are to be satisfied with what they find for you.

Make sure Your business is classified properly

There are more than 700 classification codes just for workers’ compensation coverage. Each industry has multiple classification codes depending upon the activities of the employees in each individual business. If your business is not classified properly it can cause you to either over pay or underpay your premium throughout the year. Now this mistake usually gets straightened out during the end of term audit, but either way you have been paying the wrong amount throughout they year. This can result in you getting a refund on your premium at the end of the term or owing additional premium. Either way, this is an unpredictable cost to your business.

Ask for all available Credits and Debits

If price is important to you, you should express that to your agent.  Also, you should mention to them that you want them to look for all available credits or discounts your business can take advantage of. If you have a well-documented safety program, a return-to-work program, or a safe driver program in place, it is good to mention that to him.  They may be able to use this information to negotiate for better price on premium with the carriers they are shopping your policy with.

Selectively Price Shop

IT is always important to shop around your policy to make sure you are getting both the best possible coverage and a competitive rate. At the same time, it is not wise to switch carriers each year based upon a small difference in price. This is because, when a claim does occur your carrier is likely to work with you if this is your first term with them.  If you have been with a carrier for multiple years, they are much more likely to work with you after a difficult year if they know they have gotten multiple years worth of premium from you. When the only reason you chose them was because of price, they are much more likely to refuse coverage or raise your rate significantly after a difficult year. If you cannot find coverage on the open market after a difficult year, it may force you to purchase coverage from the state fund which is much more expensive. Once you are in the state fund, most states require you to stay there for a number of years. If this happens to you, you may save a few hundred dollars in premium on the front end, but end up costing your business thousands on the back end if you wind up in the state fund for multiple years.

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Workers’ Compensation Claim Process: Best Practices

Posted on February 20, 2018 by Mitchell Sharp

Here are the Best Practices for Handling a Workers’ Compensation Claim

A Workers’ Compensation Claim can be an enormous cost to your business if not handled properly. Having a safety program in place and having multiple employees ready to address this situation can be the difference between a claim being a small hiccup and an enormous cost to your business. This safety program should have strict instructions for how your employees should handle an injury, how, when and where they should help the injured employee get proper medical care, and how they should follow up with the injured employee as well as the insurance company.

The Workers' Compensation Claim Process can cost your business immensely if not handled properly.

The carrier process the claim, not the agent

The Workers’ Compensation Claim Process can be tricky if you do not prepare for it. When a claim occurs it is handled by the insurance carrier, not the insurance agent. It is a good idea to contact your agent when a claim occurs. They can help get you to the proper person at your carrier in order to speed up the process. They can also go to bat for you if your carrier is not living up to their responsibilities. That being said, do not be upset with your insurance agent if they are not much help when you have a claim. They should be able to get you the proper phone number to call and maybe the name of a person or two who you should try to contact within the organization, but more than likely that is going to be the extent of their help.

Make this process a part of your safety program

This process should be a part of your safety program. If you train your managers and employees about the workers compensation claim process they will be more prepared to navigate the system more efficiently when a claim does occur. You do not have to go in to detail with your employees about the workers compensation process, but they should know that they should not feel they need to hide injuries. They should also know who is the proper person to report the injuries to when they do occur. Your managers need to be able to handle the workers compensation process throughout. This is because there may be a time when they have to handle the claim because the owner or President is sick or on vacation.

Have a detailed return-to-work program

A return-to-work program can only run smoothly if it is well thought out and prepared for prior to experiencing an injured employee. One of the main reasons for having a return-to-work program in place is because humans are creatures of habit. Coming to work on a regular basis is part of their routine. The longer an injured employee stays out of work, the more likely they are to develop new habits in their daily life outside of work. The longer these habits have to develop, the more likely that injured employee is to never return to work. This is when a claim can get severely out of hand. When claims get out of hand it can have drastically negative effects on the experience modification rating of your business. This rating is one of the largest aspects of your business that insurance carriers use to determine how much to charge you for premium. It is also one of the few aspects that you have direct control of through having a successful safety program that includes a return-to-work program.

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